Less homes are still underwater. U.S. homeowners gained or regained more than $1 trillion in equity over the year that ended on June 30, 2014. According to Core-Logic's 2nd quarter 2014 analysis, 44 million homes in the country now have positive equity, a gain of 950,000 homes during the quarter.
The number homes which are still "upside-down" or "underwater," that is the owner owes more on the mortgage than the market value of the home, is now 5.3 million or 10 percent of all homes with a mortgage. In Minnesota, just 7.8% of homes, and Wisconsin 10.9%.
This equity gain is great news, allowing more people to sell their existing home, and move up to something bigger - or downsize to something smaller. This will help create more inventory, which is lacking in many areas of the country.
It also allows many people to simply refinance and save on their monthly payments. This is really important for people who would like to refinance, but previously did NOT qualify for FHA or VA streamline refinance programs, or the HARP refinance program.
To see your state and the full charts:
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Mortgages Unlimited, Inc. Lending in MN, WI, and SD. NMLS 274132. (651) 552-3681. St Paul, MN
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